The Force Is With P2P - Moneywise Survey IndicatesWed 17th May 2017

Peer-to-peer (P2P) crowdfunding is entering the mainstream. We must have written that sentence in different ways more than a dozen times in the past few years. The force is undoubtedly with us, as we introduce individuals looking for a good return on capital to carefully vetted small companies seeking funds to grow. The evidence grows by the day.

"This is an increase from 39% of Moneywise users who said they used P2P lending in August 2016, and 33% who said the same when we asked in February 2016.

"The number of Moneywise users aware of P2P has also risen. Just 4% said they'd never heard of P2P lending in our most recent poll, compared to 6% who hadn't heard of it last August, and 9% who hadn't heard of it last February.

"The main attraction is that P2P lending typically offers higher interest rates than traditional savings accounts – you can also now do it via tax-efficient Innovative Finance Isas.

"However, unlike cash savings, which are generally protected up to £85,000 per financial institution by the Financial Services Compensation Scheme, P2P investments aren't protected if something goes wrong - unless you were mis-sold by an adviser and the sale meets a number of other criteria."

We currently have two P2P loan offers on site - both fixed at 8 per cent yield. Webuyanyhome is A+ and property-backed. Mar-Key is A-rated. Further detail is available to registered Money&Co. users. Both loans can be held, tax-free, in an Innovative Finance Individual Savings Account, or Innovative Finance ISA.

Risk

If you haven't made a loan via Money&Co. before, please read the risk warnings and the FAQ section. You may also wish to consult a financial adviser before making an investment.